When it's time for fintechs to add features and products, they’re often faced with the build vs. buy dilemma. That’s where an embedded software partner may be able to help — if developers know what to look for. 

We recently sat down with Sai Arora, founder of Mercoa, an embedded AP platform for vertical SaaS companies, to get his expert tips for choosing the best embedded software partner. 

Keep reading for:

• The essential role of embedded software partners in fintech
• Sai Arora’s checklist for vetting software partners
• How Rutter empowers fintechs as embedded software partners

The role of embedded software partners in fintech

An embedded software partner is a specialized provider that integrates its software directly into another company's platform to enhance functionality and accelerate time-to-market. However, these partners go beyond just offering a product; they also act as trusted advisors, providing expert guidance and robust support to ensure seamless integration and optimal performance.

Embedded software partners also play a critical role in the build vs. buy dilemma, which often comes down to resource allocation and expertise. By integrating ready-made solutions, these partners help fintechs build the best features and products without the long development cycles or heavy lift of building in-house. 

Partnering with an embedded software provider like Rutter allows businesses to focus on their core strengths while leveraging specialized tools that are already optimized for performance and integration. This approach not only speeds up product launches but also provides a strategic framework for making smart, cost-effective decisions at scale. 

What this means for SMBs

By helping fintechs to deliver new products and services faster, embedded software partners directly benefit SMBs and individual end users with increased access to innovative financial services. This efficiency helps build trust and loyalty, which are essential for customer retention and long-term growth. As fintechs streamline operations through these partnerships, SMBs enjoy more efficient and cost-effective services, enhancing overall satisfaction, better user experiences, and more tailored solutions.

What to look for in an embedded software partner

As a fintech expert, Sai has vetted dozens of embedded software partners. Over the course of his career, he has identified several key qualities that effective partners share, allowing them to help SMBs centralize and streamline their financial operations. 

We’ve compiled these qualities into a handy checklist so you can find the right embedded software for your needs.

▢ Fintech experience and documentation quality

If you think of your platform or app as a house, a software partner is the foundation, and their documentation is the blueprint. No matter how detailed the blueprint seems, the entire structure can falter if the foundation isn’t solid. In other words, poorly structured or insufficient documentation and a lack of technical expertise can lead to costly delays and frustrations, even if the solution’s initial cost is budget friendly.

Sai recalls an instance when one of his clients chose a low-cost payroll API provider as part of their embedded software stack only to find that they lacked the deep fintech experience and technical background to deliver a stable product with robust documentation.

“After our customer signed with them, they very quickly realized that it was kind of a house of cards, and ultimately it culminated in two months of work that didn't go anywhere,” Sai adds.

Truly great embedded software partners don't just hand off generic playbooks either. They dive deep into your specific needs, provide tailored guidance, and ensure every step is clearly mapped out for success. For Sai’s client, their second service provider had a stable product and a strong team with the expertise needed to make ongoing improvements. Most importantly, ensured that the client was the right fit for them as a provider — and not the other way around.

“That showed in everything that they did and how they showed up in their documentation,” Sai says. “They just had a lot of confidence in their product as a result of that approach.”

In fact, Sai suggests you begin looking for evidence of the provider’s confidence in their product during the sales process.

▢ ”No pressure for a "quick close’”

A pushy sales approach can be a bad sign. Often it signals a lack of confidence in the partnership or product. Since embedded software is a significant investment, you don’t want to feel pressured to make a hasty decision that could cost you even more down the line.

Sai compares those same two vendors to illustrate this point. He says the first vendor pushed aggressively for a quick decision, which led to a poor partnership and significant setbacks. “To close the deal, they gave this sort of red carpet vision of what's going to happen,” he says. 

The second vendor took the time to thoroughly vet the opportunity, resulting in a more successful and sustainable collaboration. “They asked our customer to do a bunch of homework on the opportunity," Sai said. “This provider was like, ‘You need to know if this is worth the investment on both sides before we move forward.’ " 

Red flags — To identify close-the-deal-at-all-costs providers, Sai points to two red flags: 

• A rushed sales process: This is a sure sign they’re worried you’ll uncover their deficiencies and choose a better fit. Paying attention to how their sales team conducts themselves during calls can reveal a lot about their confidence and transparency.
• They avoid conversations about your needs: These providers won’t discuss how their product aligns with your goals. “They’re the folks who are winging it,” Sai says. “They don’t care to talk to you; they just need the product and the API so they can get started.” 

Green flags — Alternatively, some green flags include:

• A fully scoped product with front-end designs: This will remove any ambiguities and provide a detailed view of what they want to do with their product. 
• A workflow that can be presented to potential users: This will detail how the product works for your end user.
• A commitment to their partners: You want to see that the potential partner has done their homework, and they can parallel your thinking from the go-to-market strategy to product rollout and beyond. 

▢ Seamless onboarding and proactive support

Effective embedded software partners go beyond generic onboarding playbooks. Sai emphasizes the importance of partners who thoroughly scope out your requirements and provide near-custom implementation guides. Rather than leaving you to figure things out on your own, these partners meticulously detail every step, ensuring you have the support needed to achieve your goals. 

In Sai’s ongoing partnership with Rutter, he points to three characteristics that have created an overall positive experience: 

1. A great developer experience: After working with Rutter's competitors, Sai says he sees a significant difference in Rutter’s understanding of how the product and developer team's function. “There’s no long, drawn-out song and dance,” he says. “You can ask technical questions and expect to get the answers you need in a timely manner.”
2. A focus in fintech: While some competitors attempt to serve a broad audience, Rutter has carved out a niche in financial services. This allows Rutter to make intentional product improvements for its clients and ensure an ideal fit on both sides. 
3. A client-forward sales process: When he was vetting platforms, Sai says he never felt pressure to hurry the process. Rutter provided access to the sandbox demo so he could see exactly how he could build integrations quickly. “On the same note,” he says, “if something is missing, they work with you to find a path forward.”

How Rutter embodies the preferred embedded software partner

As experts in strategic finance, Rutter understands what it takes to be a top-tier embedded software partner. Our Unified API connects with commerce platforms, marketplaces, accounting systems, and payment processors to equip fintech companies with the essential tools needed to stay competitive. We aim to check all the boxes—just as Mercoa experienced firsthand. Rutter provides promise without the pressure, delivers onboarding that leaves you feeling confident and offers a product that can scale your offerings at high velocity.

We’re trusted by industry leaders like Mercoa, Uncapped, and Airwallex to enable data-driven loans, underwrite merchants and SMBs, and enter new marketplaces with ease. 

“Rutter always has this very deliberate approach of like, if we are going to enter into this agreement, let's just make sure it is the right decision on both sides.” – Sai Arora, Founder of Mercoa.

With Rutter, there’s no need to build one-off integrations for various finance, accounting, and payment platforms. Instead, you can deliver robust features quickly, keeping pace with the dynamic fintech landscape — all through one Unified API.

Experience how Rutter can enhance your fintech product. Book a demo today to learn more.